Toast launch Toast Capital

Restaurant management platform Toast has launched Toast Capital, a solution designed to provide restaurants of all sizes with access to funding – between $5,000 to $250,000 – to cover working capital needs and invest in their growth. The product will be offered to eligible Toast restaurants by December 2019. Loans are made by WebBank.

Benefits include:

• Fast, flexible funding: Toast Capital Loans provide easy access to the financing restaurants need, when they need it. Members of the Toast Restaurant Community can apply in just a few minutes and, once approved, receive funds as soon as one business day.
• An eligibility engine designed for restaurants: Eligibility for a Toast Capital Loan is determined by a number of attributes, such as sales history, time in business, and time as a Toast customer. Unlike traditional business loans, Toast Capital Loan eligibility guidelines take into consideration specific industry challenges, such as seasonality.
• One fixed, transparent cost: Toast Capital Loans offer funding at a fixed cost that is tailored to each restaurant. Toast Capital Loans have no compounding interest or personal guarantees. Funding is available between $5,000 and $250,000, based on eligibility.
• Simple, automated repayments: Toast Capital Loans are repaid as a fixed percentage of daily credit card sales. This means repayment flexes with restaurant sales volume so when sales are slower, restaurants repay less than on busy days.

To be eligible for Toast Capital, a restaurant must have been processing on the Toast POS platform for at least six months.

“Since investing in Juvia and Sushi Garage with Toast Capital seven months ago, our revenue increased by over 15 percent. Funding through Toast Capital allowed us to expand our dining space and increase the number of covers we can handle each night. Historically, reservations would book up four days in advance, which meant a lot of disappointed potential diners. Since the expansion with Toast Capital, we now have additional seating which allows us to accommodate more guests, grow our revenue, and increase server tips.” – Tim Sandoz, director of operations at Juvia Group in Miami, Florida.

“Toast Capital is a restaurant-first funding partner committed to the success of the Restaurant Community. We understand the unique challenges restaurant owners face when it comes to running a business and securing a loan. That’s why a Toast Capital Loan provides access to transparent financing with one flat fee, empowering restaurant owners to do what they love and thrive.” – Tim Barash, chief business officer, Toast.

// Nearly 52 percent of restaurant professionals rank high food and operating costs as a top challenge in running a restaurant, according to the Toast Restaurant Success in 2019 Industry Report.

Bottom Line: Toast Coverage?